As the scarcity of kerosene continues to hit
many households in the country, some fuel marketers have decided to
produce alloy by mixing the product with black oil
to get Automotive Gas Oil, popularly known as
diesel, our correspondent has learnt.
Sources said the rise in the price of diesel was
responsible for the development, which,
according to them, has been on for some time
now.
The scarcity of kerosene, used by many
Nigerian households, has resulted in up to 100
per cent increase in its price, as it now sells for
as much as N300 per litre in some parts of the
country.
One of the sources, who is an official of an
independent marketing firm in Lagos, said
"Since diesel price went up, some marketers
have been mixing kerosene with black oil to get
diesel. They do this because they want a
cheap price for diesel, between N150 and
N160, which is not realistic now.
If depots are selling for as much as N180 per
litre, it is not realistic for you to expect to buy
AGO for N135-N140.
"Also, black oil is cheap; by the time you mix it
with kerosene, it gives you a bigger volume of
diesel. Most people originally use black oil for
engine oil production, and it is imported like
other chemicals."
When contacted for a comment, the Deputy
Manager, Public Affairs, Department of
Petroleum Resources, Mr. George Ene-Ita, said
he was not aware of the combination of
kerosene and black oil to get diesel.
"If this is the case, then there is a clear case of
a breach of protocol and contract, and you can
rest assure that the DPR will try to get to the
root of this aberration, find the culprits and
bring them to book," he said.
The supply of kerosene by the Nigerian
National Petroleum Corporation through its
subsidiary, Pipelines and Product Marketing
Company, which marketers largely depend on
for the product, has reduced in recent weeks.
The Executive Secretary, Major Oil Marketers
Association of Nigeria, Mr. Obafemi Olawore, in
a telephone interview with our correspondent,
said the foreign exchange scarcity plaguing the
country was preventing members of the group
from importing kerosene.
He said, "For the Premium Motor Spirit we are
importing, the NNPC is helping us with the
dollars. The NNPC has spoken to the
international oil companies; so, some of them
are giving us the dollars.
"Even the NNPC cannot combine importation of
everything because where is the dollar? The
militants (attacking oil and gas facilities) are
not allowing crude to sell at the correct quantity
level that will bring in more dollars."